Illovo Sugar
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Public | |
Traded as | JSE: ILV |
Industry | Agriculture |
Founded | 1891 |
Headquarters |
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Area served | South Africa, Africa |
Key people | Gavin Dalgleish (Managing Director) |
Products |
Sugar Sugar marketing |
Website | Homepage |
Illovo Sugar Limited based in Mount Edgecombe, Durban, South Africa is Africa’s biggest sugar producer and has extensive agricultural and manufacturing operations in six African countries. The group produces raw and refined sugar for local, regional African, European Union (EU), United States of America (USA) and world markets from sugar cane supplied by its own agricultural operations and independent outgrowers who supply cane to Illovo’s factories. High-value products manufactured downstream of the sugar production process are sold internationally into niche markets. Installed electricity generating capacity, fuelled by renewable resources, provides 90% of the group’s energy requirements. Illovo is listed on the JSE Limited and is a subsidiary of Associated British Foods which holds 51.4% of the issued share capital.
Illovo Sugar is listed on the JSE; its stock symbol is ILV. Its subsidiary Zambia Sugar is listed on the Lusaka Stock Exchange, under the symbol ZSUG. In addition, its Malawian subsidiary Illovo Sugar Malawi is listed on the Malawi Stock Exchange, under the symbol ILLOVO.
Contribution and Commitment
In 2012/13, the Illovo Group
- Contributed an estimated ZAR 18.5 billion (about £1.4 billion) in 2012/13 to African economies, including direct, indirect and induced economic impacts.
- Employed over 31,000 people directly (including seasonal workers), supported an estimated 46,000 people through outgrowers, and supported further employment in the value chain and wider economy of at least 15,000 using the most conservative estimates. This rises to at least 66,000 when other (still conservative) estimates are applied. Illovo’s total employment impact is therefore estimated at between 92,000 and 143,000 people across the six countries.
- For every worker directly employed by Illovo, between 1.9 and 3.6 additional workers are supported in the wider economy. This includes up to 12.4 workers for every Illovo employee in South Africa and up to 7.8 per Illovo employee in Tanzania, where there is a high reliance on outgrowers.
- Supported the livelihoods of between 400,000 and 625,000 people across southern Africa. This is based upon average household sizes applied to total employment estimates.
- Spent nearly ZAR 2 billion (£132 million) on employee wages, salaries and benefits. Employees received over 47% of Illovo’s value-added in 2012/13.
- Benefits extended to employees and immediate dependants within the operations, include free accommodation (e.g. electricity, sanitation services and potable water supplies); free healthcare (that extends to retired employees as well) along with employee wellness programmes and education related benefits that include direct allowances, provision of schools / administration assistance and bursary schemes in most countries.
- Paid direct and indirect tax totalling over ZAR 900 million (£67 million) across all six countries.
- Spent 30% of its revenues (ZAR 3.4 billion/£252 million) with independent, outgrower farmers in 2012/13.
- Procured cane from nearly 17,000 smallholder farmers, with smallholders supplying over 90% of outgrower cane in Malawi, and 70% in Tanzania.
- Spent ZAR 4.9 billion (£364 million) on non-cane procurement suppliers in 2012/13. 64% was spent in-country, benefitting hundreds of small, local businesses. Much of the remainder was sourced through Illovo Group Procurement in South Africa.
- Contributed ZAR 197 million (£15 million) on social benefits to employees and neighbouring communities, including health care, education, housing and other projects.
- Generated 90% of total energy consumption from renewable sources. Generated surplus electricity in Swaziland which is supplied to the national grid.
Subsidiaries
Subsidiaries of Illovo include:
- Illovo Sugar South Africa based in Durban, South Africa
- Illovo Sugar Malawi based in Limbe, Malawi
- Kilombero Sugar in Tanzania
- Maragra Açúcar based in Maputo, Mozambique
- Ubombo Sugar of Swaziland
- Zambia Sugar based in Mazabuka, Zambia
See also
- Zambia Sugar
- Johannesburg Stock Exchange
- Lusaka Stock Exchange
- Malawi Stock Exchange